docSTAR acquires software from competitor

docSTAR, a document management software company based in Schenectady, New York, expanded its product line this week with software acquired from its competitor, DocuLex.

DocuLex is a document management and software development company based in Winter Haven, Florida.

The acquisition gives docSTAR software that allows companies to organize medical records, invoices and payroll information on an in-house server. It complements docSTAR's existing software portfolio that includes content management and document storage on a cloud-based platform.

"This was a strategic acquisition," said Jeff Frankel, executive vice president and principal of docSTAR.

DocSTAR plans to transfer DocuLex's current clients, who are storing data on their own server in-house, to docSTAR's cloud-based platform by this time next year.

"Clients can access their data on the cloud from anywhere in the world. It's more convenient and efficient. The cost is lower. And you can eliminate expenses for IT and hardware maintenance employees," Frankel said.

docSTAR is a 20-year-old subsidiary of Astria Solutions Group LLC, a software development company. The company ranked 30th on the Business Review's 2014 Technology Companies List with $6.5 million in revenue. Frankel is anticipating a 30 to 35 percent growth in revenue this year because of the clients acquired as part of the deal.

The acquisition adds 1,000 clients to docSTAR's current 7,000. The client roster includes companies with 250 to 300 employees in the manufacturing, government and health care industries.

docSTAR employs 38 people in Schenectady, and another 10 employees who operate remotely. Frankel said his company has hired five employees to help transition the 1,000 clients acquired from DocuLex to the cloud. The company will hire seven more technical, customer service and research and design employees.